Interest rate and tax cuts fail to fire up business as conditions and confidence slip again

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Second quarter GDP shows the economy growing at its slowest pace in a decade and the latest business survey shows not only little sign of a turnaround, but things possibly getting worse.

The anticipated bounce in business sentiment following the federal election, successive monthly interest rate cuts and personal tax relief has yet to materialise.Business conditions and confidence have slipped even further below their long-term trend despite the removal of political uncertaintyDespite a pick-up in August, retail remains the weakest sector, while mining is the strongest

And forward-looking indicators in the survey, such as forward orders and capacity utilisation, point to things getting worse before they get better.

 

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Rate cuts are giving me maybe an extra $10pw (if that) I was struggling to pay bills before and now just a tiny bit better..... Still struggling but a smidge better. Tax cuts? Have they started? As my pays the same so I'm guessing it's a tiny bit too.... so still struggling.

Hey JoshFrydenberg ..were you this much of a failure in pre-school?

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